In light of recent property curbs, the Monetary Authority of Singapore has warned that Singapore mortgage interest rates will rise. The interest rate on mortgages fluctuates according to the Singapore Interbank Offered Rate (SIBOR), which is the benchmark rate for banks. The SIBOR is closely linked to the United States interest rate, which has increased significantly since late 2016. The outlook for interest rates in the U.S. is for them to continue to rise, which is not good news for consumers. The MAS has already increased interest rates on mortgages four times in less than two years.
While there is no guarantee of a rise in Singapore mortgage interest rates, the low interest rates are good for homeowners in Singapore repaying their housing loans. With a trade-centric economy, the interest rates will probably remain near zero until 2022. For now, the banks may continue to offer housing loans at …
Recent Comments